International trade depends on the concept of?

International trade depends on the concept of comparative cost advantage. This means that different countries have different production costs and therefore can produce certain goods more efficiently and at a lower cost compared to other countries. When countries specialize in producing goods they have a comparative cost advantage in, they can trade with other countries to obtain goods they don't produce efficiently or at all. For example, if Country A is better at producing wheat and Country B is better at producing cloth, Country A can specialize in producing wheat and trade it with Country B in exchange for cloth. This allows both countries to consume more goods at a lower overall cost compared to producing everything domestically. Comparative cost advantage helps to increase efficiency and maximize production across different countries, leading to increased economic growth and development.